GIC Re’s NSE windfall masks weaker Q2 as flood claims, health push weigh
Mint · Samriddhi Mahar ·
The gain from the offer-for-sale in NSE’s IPO helped lift GIC Re’s investment income by11.8% to ₹4,238.26 crore
A one-time gain of ₹1,082 crore from selling part of its stake in the National Stock Exchange (NSE) cushioned General Insurance Corp. of India’s (GIC Re) earnings for the July-September quarter, as flood and cyclone claims pushed up losses in its core reinsurance business.
The state-owned reinsurer’s standalone net profit fell 14.3% from a year earlier to ₹2,455.62 crore in the quarter.
Without the NSE gain, pre-tax profit would have been about ₹2,020 crore, nearly 42% below the year-ago figure. The gain from the offer-for-sale in NSE’s initial public offering helped lift investment income by11.8% to ₹4,238.26 crore. Standalone total income was ₹13,469.45 crore in the September quarter, up 13.8% from ₹11,831.26 crore a year earlier.The valuation was at cost when it was unlisted and the remaining stake is now valued at market price, the company said at an earnings call on Friday, adding that